Significant profitability improvement: EBITDA from business operations at €62.0m vs. €29.1m in FY2012

• Consolidated FY2013 revenues of €1,189.0m vs €1,264.4m a year ago, due to the prolonged challenging economic and market conditions and the exceptional impact to Hygeia Group (€28m charge booked in Q4 2013) related to the legal obligation to implement the automatic claw back and rebate mechanisms in the healthcare sector. Excluding this exceptional impact, consolidated revenues declined 3.7% y-o-y, matching the annual real GDP contraction in Greece.
• EBITDA from business operations^[1] at €62.0m, 113% annual improvement vs. €29.1m in FY2012, attributed to widening gross profit margins, cost containment effectiveness and improved efficiency. The profitability improvement is primarily associated to better results from ATTICA, VIVARTIA and FAI.
• Reported consolidated EBITDA turns profitable at €8.6m, vs. €50.9m loss a year ago, reflecting the substantial profitability improvement of business operations, despite the significant €28m impact to Hygeia Group EBITDA related to the aforesaid government policy decisions.
• Consolidated net loss, after tax and minorities, of €203.3m, adversely impacted by one-off deferred taxes (€35m), negative revaluation of investment property (€10.8m vs €43.2m in FY2012) and impairment charges (€47.5m vs. €1,090.6m in FY2012). The relevant bottom-line loss in FY2012 amounted to €1,298.0m.
• Net Asset Value (NAV) at €967m (vs. €1,297m on 31.12.2012), translating to a NAV per share of €1.26 (vs. €1.68 on 31.12.2012).
• Cash balances, including restricted cash, of €209m at consolidated and €112m at parent company level. Consolidated gross debt declined by €64m.
• The successful completion of the sale of Olympic Air to Aegean Airlines, in late October 2013, resulted to a €42m capital gain (booked in Q4 2013 Consolidated Financial Statements). Management priority is to actively rebalance the group's investment portfolio, aimed at deleveraging.
  

Marfin Investment Group (MIG) consolidated FY2013 sales reached €1,189.0m compared to €1,264.4m in FY2012, due to the prolonged challenging economic and market conditions in Greece and the exceptional impact to Hygeia Group (€28m charge booked in Q4 2013) related to the unilateral, on the part of the Greek state, legal obligation to implement the automatic claw back and rebate mechanisms in the healthcare sector. Excluding this exceptional impact, consolidated FY2013 sales declined 3.7% y-o-y, matching the annual real GDP contraction in Greece.

Consolidated EBITDA from business operations[2] amounted to €62.0m, a substantial improvement (+113% y-o-y) compared to €29.1m a year ago. The improvement is primarily associated to better results at ATTICA (+€17.7m y-o-y change), VIVARTIA (+€8.1m y-o-y change) and FAI (+€2.5m y-o-y change). Additionally, the operating profitability enhancement is attributed to widening gross profit margins, cost containment effectiveness (group SG&A declined by 15.3% y-o-y) and improved efficiency. Management anticipates that the group's core assets will demonstrate further tangible benefits in the coming quarters, attributed to operating leverage.

Consolidated reported EBITDA turned profitable in FY2013 (€8.6m) compared to €50.9m loss a year ago, reflecting the significant operating profitability improvement of the group's business operations, despite the €28m impact to Hygeia Group EBITDA, related to the aforesaid government policy decisions in the healthcare sector.

FY2013 consolidated bottom-line results have been burdened by €35m one-off deferred taxes (as of 1 January 2013 a higher corporate tax rate of 26% vs. 20% before was introduced in Greece), €10.8m negative investment property revaluation (vs €43.2m in FY2012) and €47.5m impairment charges (vs. €1,090.6m in FY2012). That said FY2013 group net loss, after tax and minorities, amounted to €203.3m, compared to €1,298.0m net loss in FY2012. Discontinued operations registered net profit, after tax and minorities, of €23.8m (including €42m capital gain from the sale of Olympic Air to Aegean Airlines) vs. €37.5m loss a year ago.

Net Asset Value (NAV) stood at €967m on 31.12.2013 (vs. €1.30bn on 31.12.2012), or at €1.26 on a per share basis (vs. €1.68 on 31.12.2012). The reduction is largely attributed to €191m worth of impairments and €106m worth of deferred taxes.

Cash balances, including restricted cash, at the parent company level amounted to €112m and €209m at group level. Worth noting that MIG's group receivables from the Greek state amounted to €65m at the end of 2013 vs. €126m at the end of 2012 (excluding €20m receivables from the Greek state related to Olympic Air).

Despite a prolonged period of challenging macroeconomic conditions in Greece and their subsequent adverse impact to domestic demand and households' disposable income, a number of MIG's core portfolio companies have succeeded in improving their overall performance compared to last year.

• Vivartia: further strengthened its leading market position across its key businesses, registering market share gains in both the fresh milk market (32.5% in 2013) and the frozen vegetables market (64.1% in 2013). Management efforts to rationalise costs (SG&A -20% y-o-y vs. -16% y-o-y in 9M 2013) and improve efficiency have resulted in significant EBITDA improvement (reported EBITDA of €14m vs. €1.7m a year ago).
• Attica Group:positive sales growth (c2% y-o-y), through higher traffic volumes in both the domestic market and the Adriatic Sea routes, as well as continuous cost containment (COGS –6% y-o-y and SG&A –4% y-o-y), resulted to substantial EBITDA improvement (€27.1m vs. €9.4m a year ago). In fact Attica reported positive EBIT (€2m profit vs €17.7m loss in FY2012) for the first time since 2009.
  • Hygeia Group: excluding the aforementioned exceptional government decision to implement the automatic claw back and rebate mechanisms in the healthcare sector, group EBITDA improved 42% y-o-y to €21.8m, supported by ongoing efficiency improvements and cost optimisation.

Management priority is to actively rebalance the group's investment portfolio, aimed at deleveraging. Consistent with the aforementioned strategy, we highlight:

• The successful completion of the sale of Olympic Air to Aegean Airlines, in late October 2013, which resulted to a capital gain of approximately €42m (booked in the Consolidated Financial Statements in Q4 2013).
• Attica Group's disposal of its Superfast VI Ro-Pax vessel in April 2013, which resulted to c€50m debt reduction.
• Hygeia Group's disposal of two hospitals operated in Cyprus (namely Achillion in March 2013 and Evangelismos in April 2013), generating c€14m liquidity enhancement.
• The sale of a minority 14% stake in Cape Investment Corporation (a dry bulk shipping company) for a cash consideration of €9.5m in April 2013.

Finally with regards to liquidity, in late July 2013 MIG achieved to extend the debt maturity profile of an outstanding Convertible Bond Loan issue by 5 years to 2020, through the refinancing of such securities worth €211.9m. Additionally, in January 2014 Hygeia Group completed the refinancing of a €42m bond loan for its subsidiary maternity hospital Mitera. With this issue, Hygeia Group successfully completed the refinancing of all of its outstanding debt obligations.

Contacts:

Investor Relations: +30 210 350 4046

InvestorRelations@marfingroup.gr

About MIG: Marfin Investment Group Holdings S.A. is an international investment holding company based in Greece and throughout Southeast Europe (SEE). The Company believes it is uniquely positioned to take advantage of an expanding array of investment opportunities in this region; opportunities in which traditional investment vehicles lacking MIG's regional focus, scale, expertise, and/or its investment flexibility and financial resources, may find difficult to identify and exploit. MIG in its current structure has been listed on the Athens Stock Exchange since July 2007. Its portfolio includes leading companies in sectors across the SEE region, grouped into Food & Beverages, Healthcare, IT & Telecoms, Transportation & Shipping, Real Estate, Tourism & Leisure. Included amongst its portfolio and subsidiary companies is Vivartia, a leading food and food retail business in SEE; Attica Group, a leading passenger ferry operator in the Eastern Mediterranean; Hygeia Group, a market leader in integrated private hospitals and clinics in SEE, with the leading general hospital facilities and maternity clinics in Greece; SingularLogic, the leading IT operator in Greece; Flight Ambulance International (FAI) a top-5 global fixed-wing medical evacuation company; Sunce (Bluesun) a leading hospitality and leisure group in Croatia; and Robne Kuce Beograd (RKB), owner of the largest commercial real-estate portfolio in Serbia.